EFFECT function
Returns the effective annual interest rate, given the nominal annual interest rate and the number of compounding periods per year.
Syntax
EFFECT(nominal_rate, npery)Square brackets indicate optional arguments.
Arguments
| Argument | Required | Meaning |
|---|---|---|
| nominal_rate | Yes | Required. The nominal interest rate.5.25% |
| npery | Yes | Required. The number of compounding periods per year.4 |
Try EFFECT
Convert a nominal rate into an annual effective rate
=EFFECT(0.12,12)Convert a nominal rate into an annual effective rate. The result is checked against a separately authored expected value for the supplied table. You can edit the data to explore the rule.
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EFFECT · top-level call
=EFFECT(0.12,12)Follow the cells behind a result
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Reference and compatibility
Univer 1.0.4 / Apache-2.0. Calculation checks cover the supplied examples only. The browser worksheet does not implement every Excel feature, external service or connected data type.